FAC Explorer

Finding 571666 (2024-001)

Significant Deficiency Repeat Finding
Requirement
C
Questioned Costs
-
Year
2024
Accepted
2025-07-21
Audit: 362611
Organization: Lutheran Services in Iowa, Inc. (IA)
Auditor: Cliftonlarosnallen LLP

AI Summary

  • Core Issue: Internal controls over drawdown requests are not consistently followed, leading to compliance risks.
  • Impacted Requirements: This finding violates 2 CFR Part 200, which mandates effective internal controls for federal awards.
  • Recommended Follow-Up: Implement a robust review process for all drawdown requests to strengthen cash management controls.

Finding Text

Federal Agency: Department of Health and Human Services Federal Program Title: Title IV-E Foster Care Assistance Listing Number: 93.658 Pass-Through Agency: Four Oaks Family & Children Pass-Through Number(s): FWBP-CPS-24-002 Award Period: July 1, 2023 – June 30, 2024 Type of Finding: Significancy Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award Section 200.303 requires entities to establish and maintain effective internal controls over Federal Awards. Condition: During our testing we noted internal controls over drawdown requests were not always properly followed. Questioned Costs: None Context: 1 of 3 drawdown requests in our sample were missing approvals. Cause: LSI has a limited number of individuals in the finance department and has experienced significant turnover in the finance department. Effect: The lack of internal controls over cash management provides an opportunity for noncompliance. Repeat Finding: Yes – see 2023-003 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Title IV-E Foster Care Assistance Listing No. 93.658 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Preparer of drawdown request will have approval from another finance team member. Name(s) of the contact person(s) responsible for corrective action: Roni Knief Planned completion date for corrective action plan: Complete and ongoing

Categories

Cash Management Student Financial Aid Allowable Costs / Cost Principles

Other Findings in this Audit

  • 571667 2024-001
    Significant Deficiency Repeat
  • 571668 2024-001
    Significant Deficiency Repeat
  • 571669 2024-002
    Significant Deficiency Repeat
  • 571670 2024-002
    Significant Deficiency Repeat
  • 571671 2024-002
    Significant Deficiency Repeat
  • 1148108 2024-001
    Significant Deficiency Repeat
  • 1148109 2024-001
    Significant Deficiency Repeat
  • 1148110 2024-001
    Significant Deficiency Repeat
  • 1148111 2024-002
    Significant Deficiency Repeat
  • 1148112 2024-002
    Significant Deficiency Repeat
  • 1148113 2024-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.567 Refugee and Entrant Assistance Voluntary Agency Programs $1.30M
93.658 Foster Care Title IV-E $1.03M
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $726,856
21.023 Emergency Rental Assistance Program $548,721
93.676 Unaccompanied Children Program $368,856
93.505 Affordable Care Act (aca) Maternal, Infant, and Early Childhood Home Visiting Program $326,391
93.575 Child Care and Development Block Grant $248,782
19.510 U.s. Refugee Admissions Program $230,676
10.311 Beginning Farmer and Rancher Development Program $215,142
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $150,760
93.595 Lsi Refugee & Immigrant Services Client-Centered Services Transition $148,831
10.443 Outreach and Assistance for Socially Disadvantaged and Veteran Farmers and Ranchers $124,764
97.010 Citizenship Education and Training $124,735
93.575 Services to Victims of A Severe Form of Trafficking $90,706
10.182 Pandemic Relief Activities: Local Food Purchase Agreements with States, Tribes, and Local Governments $84,994
10.215 Sustainable Agriculture Research and Education $83,741
10.175 Farmers Market and Local Food Promotion Program $82,529
59.077 Community Navigator Pilot Program $80,678
93.558 Temporary Assistance for Needy Families $63,024
93.667 Social Services Block Grant $58,300
84.011 Migrant Education State Grant Program $43,472
93.576 Refugee and Entrant Assistance Discretionary Grants $28,858
10.902 Soil and Water Conservation $27,243
10.555 National School Lunch Program $15,984
93.590 Community-Based Child Abuse Prevention Grants $13,307
10.186 Regional Food Business Centers $11,608
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $7,304
10.937 Partnerships for Climate-Smart Commodities $6,644
10.553 School Breakfast Program $6,119
10.968 Increasing Land, Capital, and Market Access Program $4,465
93.645 Stephanie Tubbs Jones Child Welfare Services Program $4,178
93.598 Services to Victims of A Severe Form of Trafficking $1,605
93.658 Welfare Reform Research, Evaluations and National Studies $345